Facing Foreclosure in Kent County, Delaware: Mediation and Sheriff Sale Guide

Step by step in Kent County

1. 1

   Count the 45 days from the notice

   On an owner-occupied 1 to 4 family home, the lender cannot file until 45 days after it sends the notice of intent to foreclose. The notice goes by certified mail and first class mail. It must list housing counselors and the Attorney General's foreclosure hotline. Use those 45 days to call a counselor and gather your income papers.

2. 2

   Open the complaint packet carefully

   The foreclosure case is a scire facias action on the mortgage. For covered homes, a notice of foreclosure mediation comes with the complaint. Do not set it aside. The 30-day counselor deadline and the mediation date both run from the date you were served.

3. 3

   Meet a HUD-approved counselor

   The statute asks the defendant to meet with a HUD-approved housing counselor and file a Certificate of Participation within 30 days from service of the mediation notice. The state program itself is free. Call (800) 220-5424 if you do not know where to find a counselor.

4. 4

   Prepare for the mediation conference

   The court sets the conference at least 45 days and at most 75 days after service. A judgment cannot be entered until the day after it. The state program lists loan modification, repayment plan and forbearance as ways to stay, and short sale or deed in lieu as ways to leave on better terms.

5. 5

   Ask about the loss mitigation affidavit

   Before judgment or sheriff sale on an owner-occupied 1 to 4 family home, the plaintiff must file an affidavit about your chance to apply for a federal loss mitigation program. If it is missing, the judgment is dismissed without prejudice. An attorney can check the docket for it.

6. 6

   Plan around the Kent sheriff sale rules

   Kent County foreclosure sales happen on the first Thursday of the month in Chamber Room 203 at the Levy Court building. Bidders must register before the sale and bring a $4,000 non-refundable instrument for each property. The winning bidder pays 20% on the day of sale, and the page says the balance is due about 30 days later.

7. 7

   Get the payoff before you choose a route

   A buyer cannot price a fair offer without the lender's written payoff and the case status. If the home is worth more than the debt, a sale before the auction can protect your equity. If not, a counselor can explain what a short sale would need.

Kent County offices you may deal with

Kent County foreclosure questions